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Australia's GDP growth slows due to climate change
Australia's GDP growth slows due to climate change

Australia has faced the most significant economic impact of climate change compared to any other country. It is the driest continent on the planet, even more arid than Africa. Usually, the annual drought in the country is followed by bushfires. This year, wildfires were certainly the worst ever recorded in the history of the continent.  Australia is a place where even a minor climate change can cause serious economic and financial problems. According to Philip Lowe, the Governor of the Reserve Bank of Australia, the consequences of climate change for the economy are profound. The world is getting hotter and the climate is getting more variable. Australia can see the destructive effect of that perhaps more than any other country in the world. “Climate change is affecting the nature of production in Australia, the nature of investment, ultimately the nature of our exports, at the moment I think it’s affecting confidence in people and therefore ultimately spending,” Lowe said. In the final three months of 2019, drought cut Australia’s GDP growth by a quarter percentage point, while the bushfires would cost the economy another 0.2 percentage points. However, Australia is not the only country that is suffering from natural disasters. According to Aon insurance company, the damage done by the natural forces across the globe amounts to 2.98 trillion dollars, which is approximately 1.19 trillion dollars more than in the previous decade.


เผยแพร่: 2020-02-20 13:11:52 UTC
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